HUST RESPONSE TO INFORMAL SHAREHOLDERS MEETING HELD ON FRIDAY 29th SEPTEMBER 2023

HUST RESPONSE TO INFORMAL SHAREHOLDERS MEETING HELD ON FRIDAY 29th SEPTEMBER 2023

HUST welcomes the Football Club’s attempt to disclose more financial data to its shareholders. We thank the Club Chairman, Chris Ammonds, for his candour and new approach.

HUST acts as guardian of 289,000 shares in the Club and is its largest shareholder. We take a view on that basis. One of our key roles is to hold the Club accountable for its actions and we need to voice our grave concerns for the future viability of Hereford FC. 

The reported pre-audit loss of £45,000 for 2022-23 comes on the back of an excellent FA Cup run which, even if we believe the stated figure of generating an additional net £81,000, would have again delivered a six-figure loss. Large deficits, three years in a row, gives rise to why HUST tabled over 30 questions to the last Club AGM, in January 2023 (for which we did not receive satisfactory answers at the time).

HUST welcomes the initiatives the HFC board has implemented to cut costs. Reducing the total team budget for the 2023/24 season by approx. £100,000, plus an additional estimated efficiency saving of £30,000 across the business, is an excellent start. 

Given the substantial losses incurred to date, we applaud the turnaround to bring the Club into balance. However, our concern remains that the Club is “at risk” due to the lack of reserves and another loss in the current year will result in the Club running out of free cash by April 2024.  We call on the Club to do more. 

Based on the information provided at the meeting, we insisted there be more frequent and timely updates on Club finances, in light of the totally unacceptable loss of £628,000 in the past 4 years.  We are heartened that both the Chairman and Finance Director promised more open financial reporting. Something HUST has been pushing for, for some time now.  

HUST will continue to campaign for full accountability on behalf of ALL members, Bulls Supporters and other Stakeholders, to push the Club to deliver:

1) A promised savings plan 

2) A minimum forecast surplus of £45k – £50k for season end 2023/24

3) Transparency with regular updates on finances and to be upfront about any situation that challenges a return to the above surpluses

We now call on all supporters to do what they have always done best. We all own a piece of Hereford FC so let’s get behind Paul Caddis and the team and keep day to day monies flowing into the coffers. Supporters have worked hard to keep football at Edgar Street. There can be no doubt that we are living through times of uncertainty both socially and economically. Football is not immune to these outside events. Our Club must not be allowed to falter now. 

The FA Cup win over Cambridge City on Saturday was an uplifting start to move the Club forward and unite fans. Another home draw in the next round against Rochdale FC, is a positive step in the right direction.  

HUST Chairman Richard Tomkins said, “At such a critical time for the future of Hereford FC, this home match against ex Football League opposition is as exciting as it gets! We played out some real crackers against ‘Dale in the old days. So come and support the Bulls and let’s generate a special Edgar Street atmosphere!”